Business, 28.04.2021 19:30 zulfiquer5541

The management of a division National Motor Corporation that produces compact and subcompact cars has estimated that the quantity demanded of their compact models is 1300 units/week if the price of oil increases at a higher than normal rate, whereas the quantity demanded of their subcompact models is 2700 units/week under similar conditions. However, the quantity demanded of their compact models and subcompact models is 3200 units and 2500 units/week, respectively, if the price of oil increases at a normal rate. Determine the percentage of compact cars the division should plan to manufacture to maximize the expected number of cars demanded each week.

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